OMAHA (DTN) -- Retail fertilizer prices continue their decline, according to sellers tracked by DTN for the third week of June 2023. This trend has been in place for more than six months now.
All eight of the major fertilizers were lower in price compared to last month. Two fertilizers were noticeably less expensive. DTN designates a significant move as anything 5% or more.
UAN32 was 8% less expensive compared to the prior month. The nitrogen fertilizer had an average price was $471/ton. Anhydrous was 5% lower looking back to last month with an average price of $755/ton.
The remaining six fertilizers were slightly lower compared to last month. DAP had an average price of $825/ton, MAP $827/ton, potash $618/ton, urea $619/ton, 10-34-0 $734/ton and UAN28 $402/ton.
On a price per pound of nitrogen basis, the average urea price was at $0.67/lb.N, anhydrous $0.46/lb.N, UAN28 $0.72/lb.N and UAN32 $0.74/lb.N.
Agricultural economists took a closer look at nitrogen fertilizer prices in a recent University of Illinois Farmdoc Daily article titled "Weekly Farm Economics: Nitrogen Fertilizer Prices Stabilize at High Levels in Spring of 2023" from June 13. (https://farmdocdaily.illinois.edu/…)
It argues fundamental factors suggest prices will drop, but time will tell if these declines occur.
Recent declines in nitrogen prices should be kept in perspective as current prices are still at high levels, according to the report. From 2009 to 2020, ammonia prices averaged $637/ton.
"Some farmers' per-acre nitrogen costs will be higher in 2023 than in 2022," the report stated. "Sub-$1,000 prices did not exist during the fertilizer pricing window for 2023 production."
Farmers' attention will soon turn toward input purchases for the 2024 growing season.
Nitrogen prices could be lower as corn and natural gas prices have moved lower. Natural gas has declined from above-normal price levels late last year to below-average price levels in the late spring of 2023, according to the report.
All fertilizers are now lower by double digits compared to one year ago. 10-34-0 is 19% less expensive, DAP is 21% lower, MAP is 22% less expensive, potash is 30% lower, urea is 31% less expensive, UAN32 is 34% lower, UAN28 is 35% less expensive and anhydrous is 50% lower compared to a year prior.
DTN gathers fertilizer price bids from agriculture retailers each week to compile the DTN Fertilizer Index. DTN first began reporting data in November 2008.
In addition to national averages, MyDTN subscribers can access the full DTN Fertilizer Index, which includes state averages, here: https://www.mydtn.com/….
The issue of Mississippi River lower water levels continues, which could affect fertilizer movement and thus price. You can read it here: https://www.dtnpf.com/….
|Jun 20-Jun 24 2022||1040||1058||885||902|
|Jul 18-22 2022||1007||1043||887||836|
|Aug 15-19 2022||978||1026||881||807|
|Sep 12-16 2022||952||1009||877||808|
|Oct 10-14 2022||925||986||863||824|
|Nov 7-11 2022||931||980||853||812|
|Dec 5-Dec 9 2022||920||950||819||784|
|Jan 2-Jan 6 2023||876||879||752||739|
|Jan 30-Feb 3 2023||847||862||704||698|
|Feb 27-Mar 3 2023||827||827||666||648|
|Mar 27-31 2023||818||810||644||626|
|Apr 24-28 2023||827||804||624||595|
|May 22-26 2023||834||832||624||623|
|June 19-23 2023||825||827||618||619|
|Jun 20-Jun 24 2022||905||1497||616||716|
|Jul 18-22 2022||894||1431||598||696|
|Aug 15-19 2022||878||1336||576||676|
|Sep 12-16 2022||861||1369||578||665|
|Oct 10-14 2022||759||1417||576||670|
|Nov 7-11 2022||758||1434||582||680|
|Dec 5-Dec 9 2022||751||1415||581||681|
|Jan 2-Jan 6 2023||754||1302||573||673|
|Jan 30-Feb 3 2023||754||1223||518||583|
|Feb 27-Mar 3 2023||741||1077||444||525|
|Mar 27-31 2023||741||1026||428||513|
|Apr 24-28 2023||740||928||426||508|
|May 22-26 2023||739||798||419||509|
|June 19-23 2023||734||755||402||471|
Russ Quinn can be reached at Russ.Quinn@dtn.com
Follow him on Twitter @RussQuinnDTN
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